April 04, 2019
CBP issues information with regard to CBMA on certain wines and mead.
U.S. Customs and Border Protection (CBP) has issued procedures and requirements with regard to the Craft Beverage Modernization and Tax Reform Act of 2017 (CBMA) for certain wines and mead. This addresses the temporary change (only on imports from January 1, 2018 through December 31, 2019) of the tax rate to $1.07 on still wines having over 14%, but not more than 16%, alcohol by volume, imported pursuant to 26 U.S.C. § 5041(b)(1). Certain “low alcohol by volume wines” and “meads” are also temporarily eligible for the same $1.07 tax rate pursuant to 26 U.S.C. § 5041(h). Affected importers of these wines and mead are now able to take advantage of the $1.07 tax rate.
You may be eligible for a refund of taxes on import entries processed on or after January 1, 2018, if the reduced tax rate of $1.07 was not applied. You may confirm whether the $1.07 tax rate was applied to your entry or entries by reviewing blocks 34 and 38 of the entry summary (CBP Form 7501).
For further information, please see the complete U.S. Customs and Border Protection message, available here.
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